Are you thinking of becoming a vacation rental owner to earn some extra income? Before you move on, it is important that you’re aware of the requirements that it entails, such as registering your property. Warmrental prepared a guide on how to obtain your vacation rental license in Portugal. Read on to find out…
What is a vacation rental
A vacation rental is an establishment that, for a fee and in compliance with the requirements of the law, provides temporary accommodation services to tourists.
It can take the form of:
- Bedroom – exploitation of a vacation rental establishment at the taxpayer’s domicile when the accommodation unit is the bedroom and there are not more than three bedrooms.
- Apartment – exploitation of a vacation rental establishment consisting of an autonomous fraction of a building or part of an urban building.
- Villa – exploitation of a vacation rental establishment consisting of a freestanding building.
- Accommodation Establishment – exploitation of a vacation rental establishment whose accommodation units are made up of rooms, integrated into an autonomous fraction of a building, in an urban building or in a part of an urban building susceptible to independent use, being able to use the name of hostel when the predominant accommodation unit is a dormitory and if they obey other requirements.
How To Register Your Vacation Rental In Portugal
Step One: Register with the Portuguese Finances Department
The first step will be to open activity in the Portuguese Finances Department as a provider of furnished accommodation services for tourists (CAE 55201, with the designation of Furnished accommodation for tourists). You can do it online, through the Finances Portal, or in person at a Finances Department or Loja do Cidadão.
What do you need?
- Citizen Card;
- Tax Identification Number;
- Bank Account Number;
- Expected start date of the activity;
- Estimated annual income.
Step Two: Register your vacation rental
The registration of your vacation rental must be done beforehand by the owner of the property through the Balcão Único Eletrónico. It will be requested:
- The owner’s identification and address;
- The owner’s Tax Identification Number;
- The name, modality, capacity, and address of the establishment;
- The intended date of opening to the public;
- The name, telephone number, and address of contact person in case of emergency;
- A copy of the declaration of open activity in the Portuguese Finances Department;
- Among others.
The submission of this request has no cost and is made to the competent City Council, which has 10 days for the approval (20 days in the case of a hostel). After the deadline, if there is no opposition from the Council, a vacation rental registration number is given, which allows it to open to the public.
If you need help with this process, you can go to a Loja do Cidadão or the City Council of where your rental is located.
Step Three: Compliance with general and safety rules
After 30 days, the City Council conducts an inspection of the vacation rental to check if it meets the required conditions. Thus, it is important to ensure that you comply with all general and safety rules in order to pass the inspection.
Each short-term rental establishment must:
- Place the vacation rental identification plate on the front door;
- Have a complaints book (physical and digital) available;
- Have an indication of the emergency number, first aid box, fire extinguisher, and fire blanket;
- Always meet hygiene and cleanliness requirements;
- Have hot and cold running water and be connected to the public water supply network or have a private water supply system with a controlled origin;
- Be connected to the public sewerage network or have septic tanks dimensioned to its maximum capacity;
- Have adequate ventilation conditions;
- Be equipped with adequate furniture, equipment, and utensils;
- Have a way to block the entrance of outside light;
- Have a security system that ensures guests’ privacy;
- Provide an information book with instructions and rules, namely: collection and selection of urban waste, instructions on how to use appliances, noise rules, useful contacts (including the person in charge of the property).
After obtaining your vacation rental license, it is important to take into account some regular obligations, such as the municipal tourist tax, communication to the Immigration and Borders Service (SEF) when hosting foreign guests, and, of course, the b arising from the opening of activity in the Finances Department.